Korean Companies' Share of EV Battery Cathode Materials Falls to 9%; LFP Tops 65%
SNE Research survey of EV cathode material shipments in January-August
Up 21.8% year on year... market excluding China up 30%
LFP share in markets outside China rises 14.1 percentage points in a year
From January to August this year, Korean companies' share of the cathode materials market for electric vehicle batteries fell to 9%. Lithium iron phosphate (LFP) cathode materials accounted for more than 65% of the market. Chinese cathode material companies appear to have expanded LFP supplies in EV markets outside China, narrowing the position of Korean companies accordingly.
According to SNE Research, a secondary battery market research firm, global shipments of cathode materials for electric vehicles totaled 1,917,000 tons in January-August 2026, up 21.8% from 1,575,000 tons in the same period a year earlier.
Over the same period, the market excluding China grew 30.0%, from 564,000 tons to 733,000 tons, outpacing the overall market. Its share of total shipments also rose by 2.4 percentage points, from 35.8% to 38.2%.
By material, LFP shipments rose 31.8% to 1,254,000 tons, while shipments of ternary (NCx) cathode materials increased just 6.4% to 663,000 tons. LFP's share of total cathode materials rose by 5.0 percentage points, from 60.4% to 65.4%.
SNE Research said, "In markets outside China, the share of LFP rose by 14.1 percentage points, from 20.8% to 34.9%. LFP is expanding its position as a leading material in overseas markets such as Europe and Asia, moving beyond its role as a material centered on China's domestic market."
In the ternary cathode materials market, China's Ronbay, Leshine and Libode ranked first, second and third, respectively, while South Korea's L&F ranked fourth, posting growth of 36.5%. LG Chem and EcoPro ranked seventh and eighth, respectively.
Chinese suppliers, with vertically integrated operations spanning raw materials through processed materials, maintained their advantage in the LFP market. SNE Research said, "As efforts to normalize material prices emerge amid the Chinese government's push to curb excessive competition, a 2% consumption tax on lithium-ion batteries sold domestically has been imposed starting in September, making cost-sharing negotiations between cell and material manufacturers even more challenging."
By supplier nationality, Chinese companies' market share rose by 3.3 percentage points to 87.3%, up from 84.0% in the same period a year earlier. By contrast, the share of Korean companies fell by 3.0 percentage points, from 12.0% to 9.0%, while that of Japanese companies declined by 0.4 percentage points, from 4.0% to 3.6%.
Hot Picks Today
"Apparently, you can easily make 3.3 million won a month in Korea"... The "easy-money gig" making waves among international students
- "I've lived here for more than 60 years, but I've never experienced anything like this"... North Korea's Large-Scale Blasting South of Gaeseong Observed
- North Korean Landmine Incident... Angry Male Support for Ruling Party Falls 10.5 Points [Asia Business Daily-Realmeter Poll]
- "Hand in Your Resignation and Get a Year's Salary"... This Country Pushes Early Retirement for Civil Servants
- "Oh Eunyoung's Consultation Fee: Millions of Won? Not Expensive"... Yonsei Professor's Sharp Rebuke over "300,000-Won Lecture Fee"
SNE Research said, "Supply chain requirements in North America, Europe's Battery Booster Package and the battery passport mandate taking effect in February 2027 are all being strengthened at the same time. Differences between companies are expected to widen further depending on their technological capabilities in LFP and high-performance ternary materials, as well as their ability to source locally." Another factor is whether China resumes export controls on cathode materials and battery technology, which were extended until January 2027 under a U.S.-China agreement.
© The Asia Business Daily. All rights reserved. Unauthorized AI training and use prohibited.
